City Cabanas Land Dispute Reveals Sh1.93 Billion Illegal Expressway Payout

A storm is brewing over a Sh1.93 billion payment made during the construction of the Nairobi Expressway.

At the heart of the dispute is a prime parcel near the City Cabanas hotel. Businessman Simion Nyamanya Ondiba has moved to court, claiming that the money was paid illegally to Rosaline Njeri Macharia.

He says the land was not affected by the Expressway, and yet the National Land Commission (NLC) and Kenya National Highways Authority (KeNHA) pushed through a fraudulent compensation deal.

This case now raises troubling questions about public land acquisitions and the misuse of taxpayer money.

Businessman sues to recover billions paid for land Expressway didn’t touch—City Cabanas land at center. [Photo: Courtesy]

Sh1.93 Billion Paid for Land the Expressway Never Touched

Simion Ondiba, who says he is the rightful owner of the City Cabanas land in question, wants the court to reverse a hefty Sh1.93 billion payment made to Rosaline Njeri Macharia in 2021.

The funds were paid by the NLC and KeNHA as compensation for acquiring land allegedly used for the Nairobi Expressway project. But Ondiba insists that the Expressway never touched the land under reference.

In a petition before the Environment and Land Court, he describes the payment as unconstitutional and fraudulent. He accuses NLC and KeNHA of abusing their power by acquiring the property under false pretenses.

“Despite the payment of nearly two billion shillings, the Expressway did not pass through the land. I have been denied the right to develop or sell the property due to ongoing restrictions by the NLC and KeNHA,” Ondiba says through his lawyer, Harry Arunda.

He now wants the Sh1.93 billion recovered and returned to the national coffers. In court documents, he argues that the land listed for compensation used an outdated land reference number — LR. No. 209/11293 — which was obsolete. The legitimate title, he claims, is LR. No. 209/11293/1, which remains untouched by the road project.

Ondiba accuses the authorities of a deliberate cover-up. He is also demanding that KeNHA and NLC file a full report on the acquisition and compensation process involving the City Cabanas land.

Mysterious Compensation Raises Red Flags

The compensation made to Ms. Macharia was quietly executed under the pretext of acquiring land for the 27-kilometre Nairobi Expressway. However, Mr. Ondiba’s petition has raised a red flag — if the land was not touched, why was such a huge sum paid?

Mr Ondiba claims he has faced endless frustrations while seeking justice. According to him, every attempt to resolve the issue through official channels has hit a wall. He says he has been tossed from one government office to another, receiving no real answers.

His lawyer says the transaction reeks of corruption. “The process was unlawful, and the documents supporting the payment are questionable. Our client’s property rights have been violated without any legal basis,” said Mr Arunda.

Further complicating the matter is the lack of transparency. Mr. Ondiba wants both KeNHA and NLC to produce all documents used in valuing the property and justifying the compensation.

He believes these documents will expose a coordinated scheme to siphon public funds using a falsified land claim. This is not the first time the City Cabanas land has drawn controversy.

Past reports suggest several attempts by private developers and shadowy figures to lay claim to the valuable parcel, located near a key junction leading to Nairobi’s Jomo Kenyatta International Airport.

A Pattern of Land Scandals Haunting Public Projects

The City Cabanas land dispute is the latest in a worrying trend of land compensation scandals in Kenya. Across the country, projects meant to improve infrastructure have been riddled with ghost payments, inflated valuations, and questionable beneficiaries.

In 2021, similar cases emerged in the Standard Gauge Railway (SGR) project, where millions were paid out to individuals with no clear ownership rights.

Critics say the National Land Commission has repeatedly failed in its mandate to protect public interest. Mr. Ondiba’s case may now open a floodgate.

Activists and lawmakers are calling for a thorough audit of all compensation related to the Nairobi Expressway. They believe the City Cabanas land saga could be just one piece of a larger puzzle involving billions of shillings.

For now, the court must decide whether the Sh1.93 billion payment was made in error — or worse, as part of an illegal scheme to loot public funds.

The businessman wants the money refunded and his rights restored. The public, on the other hand, is demanding answers and accountability from agencies that were meant to serve them.

Key Takeaways:

• Simion Ondiba has filed a court petition to recover Sh1.93 billion paid to another party for City Cabanas land he claims was never touched by the Expressway.
• He accuses NLC and KeNHA of unlawful conduct, calling the compensation illegal and unconstitutional.
• The case highlights a broader pattern of land compensation fraud in major infrastructure projects across Kenya.